The ruling at the Hague Appeals Court comes as governments of some 200 countries gather at the COP29 talks in Azerbaijan to discuss the future of the planet including a transition to clean energy.

The Hague District Court ruled three years ago that Shell must reduce its carbon emissions by 45 percent by 2030, as it was contributing to the "dire" effects of climate change.

That ruling was seen as a historic victory for climate change campaigners as it was the first time a company had been made to align its policy with the 2015 Paris climate change accords.

But Shell, which called litigation "ineffective" to address climate change, is appealing the 2021 ruling, while environmental groups accuse the oil giant of failing to take action.

"We do not believe that a court decision against a company is the right solution for the energy transition," the group said on its website.

"We are convinced of the strength of our case," a Shell official told AFP a few days ahead of the hearing.

Tuesday's ruling follows four days of hearings in April, during which Shell and environmental groups put forth their arguments before the judges.

"This judgement could be a pivotal point for the climate," Milieudefensie, the Dutch branch of Friends of the Earth, said on its website.

"For years we've put pressure on Shell and other large-scale polluters who are doing too little for the climate."

"If they don't take action, we won't be able to stop climate change," Milieudefensie said.

Shell has said before it was investing some "10 to 15 billion dollars between 2023-25 in low-carbon energy solutions," representing 23 percent of its total capital expenditure.

"If this judgement is upheld, it will have far-reaching consequences for Dutch business, employment and the Dutch investment climate," the company has warned.

The 2015 Paris accords committed all nations to cut carbon emissions to limit warming to two degrees Celsius (3.6 Fahrenheit) above pre-industrial levels and encouraged them to go down to 1.5 degrees.

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